O'Reilly logo

Responsible Restructuring by Wayne F Cascio

Stay ahead with the world's most comprehensive technology and business learning platform.

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, tutorials, and more.

Start Free Trial

No credit card required

5Responsible Restructuring—Alternative Strategies

49

Many companies, when faced with competitive pressures, have found creative alternatives to downsizing their workforces.

CHARLES SCHWAB & COMPANY

Strategy: Use downsizing as a last resort; at the same time, reinvent your business.

At the end of the second quarter of 2001, Schwab’s commission revenues were off 57 percent from their peak 15 months earlier. Overall revenue was down 38 percent, losses totaled $19 million (U.S.), and the stock had dropped 75 percent from its high. Something had to be done. How did the company respond? It took five steps before finally cutting staff.1

  • When Schwab saw business begin to deteriorate the year before, it put projects on hold and cut back on such expenses ...

With Safari, you learn the way you learn best. Get unlimited access to videos, live online training, learning paths, books, interactive tutorials, and more.

Start Free Trial

No credit card required